Investment - Financial Asset and Real Asset

Investment - Financial Asset and Real Asset
Many different types of assets can be purchased with savings. Real and financial assets are both examples of assets, which are things with worth. 

Real assets are tangible possessions including land, structures, equipment, livestock, and gold. They are sometimes referred to as "physical capital," and they can have an impact on a company's ability to produce.
Financial assets, in contrast, usually take the form of a certificate or legal contract and represent claims on real  assets or maybe other financial assets. 
A share of stock, for instance, signifies ownership in a business. This share entitles its owner, referred to as a shareholder, to a share of the company's assets and profits. The overall 
financial assets that an investor owns together are collectively referred to as an investment portfolio.

The term "security" refers to a financial asset that can be traded. Debt and equity securities are the two main types of securities. In markets, buyers and sellers can transact business. In financial markets or securities markets, buyers and sellers trade securities.